When you think of the word “wholesale”, you think of a company that buys products from a factory and resells it to you. The price offered by the manufacturer is “ex-works”. This is the price at which they sell their factory-produced products to wholesalers, trading companies, or buyers.

Wholesale Pet Supplies and trading companies increase their profits on this price and sell you the product at a higher price. This is the “wholesale price” and obviously, it costs more than buying the product directly from the factory. If you are a buyer of pet products, how do you choose Wholesale Pet Supplies in China that is right for you?

Asian Wholesale Pet Supplies are easy to understand and necessary to know. Without a clear distinction between factories and Wholesale Pet Supplies or trading companies, and the pros and cons of sourcing from each, you can make costly mistakes.

Trading Company vs Wholesale Pet Supplies vs Factory:

When it comes to sourcing wholesale from China, the common advice is to “avoid trading companies and go directly to the factory”. This is reasonable when you consider the following:

– Traders work with multiple factories, so you don’t know where your products are made

– Trading companies do not have product quality inspections.

– Traders are not responsible for defective items

These are undoubtedly important factors to consider when buying products from China. How will you deal with quality issues if your trading company doesn’t cooperate or respond to your messages? How can you be sure you’ll only get products from a factory that offers impressive sample products? Working with a trading company leaves many troubling questions.

This ambiguity can outweigh advantages such as their ability to converse in English, the flexibility to source products from different categories, and buying small quantities.

What about Wholesale Pet Supplies? Are they preferable to trading companies? While Wholesale Pet Supplies and trading companies are essentially middlemen, they differ in a few ways. When Wholesale Pet Supplies buy and import products, trading companies do not take ownership of the goods. Trading companies increase ex-works prices by 5% or more. Wholesale Pet Supplies increase their purchase price by 20-50%, making them more expensive than traders.

The term “wholesaler” is more popular in the West. In China, the two main suppliers are factories and trading companies. Suppliers on Asian wholesale sites such as Alibaba claim to be manufacturers or trading companies. If it’s not clearly stated, then you need to ask them and do your own research.

Trading companies and Wholesale Pet Supplies are purposeful and not inherently bad. It’s just that they have no added value and are mainly focused on resale products. A few of them may offer pre-shipment inspections and attentive customer service. But often, their main goal is to build relationships with factories, provide access to several categories of products, and boost their profits.

Neither Wholesale Pet Supplies nor trading companies can provide quality assurance or adequately meet your product customization and original design manufacturing needs. For control and customization, your best bet is to work directly with the factory. If you don’t need custom products and aim to take advantage of the growing demand in some emerging categories, the services of a trading house or wholesaler may be sufficient.

Wholesale Quantity and Minimum Order Quantity

Minimum Order Quantity (MOQ) is a requirement to purchase a certain minimum quantity of units from a manufacturer. Wholesale Pet Supplies and trading companies also set their own MOQs, and these may be lower than what the factory expects you to buy.

MOQ varies by product type. Products that cost more to purchase may have smaller MOQs and vice versa. The MOQ requirement for electronic products is usually 500-1000 pieces per order. Textile manufacturers usually have a MOQ of 100-300 pieces per color, and the MOQ will vary depending on standard and custom colors. Products with lower profit margins have higher MOQs.

Manufacturers are often reluctant to negotiate MOQs, especially for products with lower profit margins. Asking for a reduction is futile. You can negotiate prices, though, and manufacturers are willing to match lower offers from competitors to get your business. Asking for price reductions and MOQ reductions is unfair to the manufacturer, and you’re unlikely to hear back from them.

There is a strategy you can try if you want to buy small quantities and have more control over your MOQ. You can send your own bids to suppliers. This works well if you want to order different types of products or place orders across various product categories that the manufacturer specializes in. Suppliers will consider the total order size to determine if they can accept your MOQ bid.

You may also be able to determine a minimum order quantity for specific requirements in the order list. For example, if you are sourcing serving trays, you can ask for a lower MOQ per color or size so you can offer your customers a wider variety of products. Suppliers are willing to negotiate based on your total order volume.

How to Choose Wholesale Asian Products to Sell on Amazon

Efforts to find the right manufacturer, trading company, or wholesaler, as well as negotiating minimum order quantities and prices, maybe in vain if you choose a product that is not selling well. A timeless tip for Amazon buyers is to do product research. Market reports show demand for a product, while Amazon data shows demand and sales potential.

How does this product make it a strong seller? Could customizing and white-labeling it increase its sales potential? Which types of products in a category perform well? A detailed analysis can get you going in the right direction.

Product research and competitor research go hand in hand. After all, you’ll be looking at seller pages as part of your research. This information will give you ideas about pricing your product and making it better and therefore more attractive to your market. Read reviews and see ratings to identify improvements in product development. Your product can address these flaws and include those missing features that make it more competitive in the Amazon marketplace.

where to find suppliers

Where can I find a wholesale distributor in China for my product?

You can find one from the comfort of a chair on wholesale Asian sites, or travel to major trade shows in China to meet suppliers in person. You can all – identify some suppliers that meet your requirements and then fly to China for further negotiations.

The most convenient and cost-effective way is to do all your business online and hire a service to evaluate suppliers on your behalf. Business contact in China to verify supplier location and factory. Quality inspection agencies conduct factory audits and check the quality of your products after production is in progress.

Or you can focus on your business and let a sourcing agent in China do the heavy lifting for you. A purchasing agent basically acts as your purchasing team, helping you find manufacturers capable of producing your product. They also usually offer factory audits and quality checks.

Sourcing agents typically serve small and medium-sized importers with fewer resources to manage all aspects of sourcing products from China. They are also a solution to language barriers and cultural differences that often make communication and relationship-building between importers and their Chinese suppliers a bit overwhelming.

Trade show

China hosts several fairs each year, allowing global buyers to enter one of the world’s largest markets. Anyone interested in wholesale sourcing in Asia should consider attending a trade show where they can meet manufacturer representatives, review products and have face-to-face discussions. Factory audits, QC inspection appointments and business meetings can all be carried out while traveling.

China’s largest trade show for sourcing products and finding suppliers is

– Canton Fair

– East China Fair

– Yiwu Fair

– Hong Kong Electronics Fair

– China Electronics Fair

– Asia Outdoor Trade Show

– China Hi-Tech Fair

Some tips:

– Register online in advance to avoid paying more registration fees during on-site registration

– Browse the show floor map on the show website to help you plan your day and manage your time

– Collect business cards, literature, brochures and anything else that can help you better evaluate suppliers

– Prepare a list of questions to ask suppliers

– Follow up later with additional due diligence